In a meeting this Tuesday (22) with the president of Russia, Vladimir Putin, the president of the BRICS Bank, Dilma Rousseff, defended the expansion of the bloc and the increase in financing in national currencies, replacing the dollar.
Former Brazilian president, Dilma highlighted that countries in the Global South have very large financial needs and that there are difficulties in obtaining these loans.
“We had quite high investments, but still not enough for the needs of the Brics countries. Therefore, it is very important to provide financing in local currency through specific platforms. The New Development Bank [NBD] is committed to providing financing not only for sovereign projects, but also for private sector projects”, stated Dilma Rousseff.
The Global South is the term used to refer to poor or emerging countries that, for the most part, are located in the Southern Hemisphere of the planet.
The Russian president thanked the presence of the president of the NBD – the BRICS Bank – in Kazan, Russia, which will host the bloc’s 16th summit between this Tuesday (22) and Thursday (24). Furthermore, Putin praised the work of the former president of Brazil at the head of the group’s main financial institution and defended the increased use of national currencies.
“We really appreciate what you’ve done over the past few years. Increasing payments in local currencies makes it possible to reduce debt service rates, increase the financial independence of BRICS member countries, minimize geopolitical risks and, as much as possible in today’s world, free economic development from politics”, he emphasized. Putin.
Russian President Vladimir Putin meets with the president of the New Development Bank, Dilma Rousseff, on the first day of the 2024 BRICS Summit. Photo: dilmarousseff/Instagram
The Russian president also highlighted that, since 2018, the Brics Bank has financed more than 100 projects totaling more than US$33 billion. One of the bloc’s objectives has been to increase the use of its own currencies in trade between member countries, reducing dependence on the dollar.
The presentation, by Dilma Rousseff, of a report with an assessment of the NDB on Thursday (24), during the Brics + session, which should bring together around 32 representatives from Asian countries, is also scheduled at the Brics Summit. Africa and Latin America. Dilma presides over the bank until July 2025.
During the meeting with Putin this Tuesday, the former Brazilian president also defended the expansion of the bloc, which is one of the main themes of the current summit in Russia. “BRICS is now in a process of great maturity. I hope that we can have greater expansion from the Brics countries to the countries of the Global South and that we can define the new paths that we must take in the coming years”, added Dilma Rousseff.
This year’s summit should define the criteria for interested countries to join the bloc in a new modality, associate membership. There are around 30 countries that have shown interest in participating in BRICS.
Lula
Putin also spoke by telephone this Tuesday with President Luiz Inácio Lula da Silva, who was unable to attend the summit due to a domestic accident last weekend. Both lamented the absence of Brazil’s head of state, but Lula promised to participate in the meeting of member countries via videoconference.
The first day of the BRICS Summit also featured meetings between Russian President Vladmir Putin, the presidents of China, Xi Jinping, and South Africa, Cyril Ramaphosa, and the Prime Minister of India, Narendra Modi.
